I-3 - Taxation Act

Section 865 Disposition versions

2009-05-15

865. For the purposes of sections 772.2 to 772.13, if, in relation to a taxation year, a trust governed by a profit sharing plan designates, after 19 December 2006 and in accordance with paragraph a of subsection 8.1 of section 144 of the Income Tax Act (R.S.C. 1985, c. 1 (5th Suppl.)), an amount of income in respect of a particular employee who is a beneficiary under the plan, the lesser of that amount and the portion, described in section 866, of the income of the trust for the year from sources that are other than a business carried on by it and that are situated in a foreign country, is deemed to be, for the particular employee, income from such sources for the year.

Chapter V.2 of Title II of Book I applies in relation to a designation made under paragraph a of subsection 8.1 of section 144 of the Income Tax Act or in relation to a designation made under this section before 20 December 2006.

1972, c. 23, s. 650; 1973, c. 17, s. 103; 1995, c. 63, s. 95; 2009, c. 5, s. 373.

2006-03-01

865. For the application of sections 772.2 to 772.13, the portion, described in section 866, of the income of a trust under a profit sharing plan, for a taxation year, from sources which are other than a business carried on by it and which are situated in a foreign country, is deemed to be, for an employee who is a beneficiary under the plan, income from such sources for the year if such portion is so designated by the trust in respect of that employee in the fiscal return that the trust has filed for the year under this Part.

1972, c. 23, s. 650; 1973, c. 17, s. 103; 1995, c. 63, s. 95.